Thailand plans to overhaul its crypto laws to confer more powers on the central bank. According to Bloomberg, the planned amendments to the regulations will bring the central bank to be part of it, said Finance Minister Arkhom Termpittayapaisith in an interview.
Consequently, the government will have stringent regulations over platforms offering cryptocurrencies and other tokens. The SEC, which currently has the sole mandate to supervise the industry under the rules passed in 2018, has now been asked to take the lead on the overhaul.
The move to tighten the rules was called forth when Thai authorities were criticized for not acting promptly to protect investors at Zipmex when it suspended the withdrawals.
FM Arkhom also said tighter crypto regulations are not aimed at throttling technology and innovations but to ensure investors have greater protection.
While Zipmex has since lifted most of the freeze on transactions, it has filed for a moratorium in Singapore for protection from creditors against any lawsuits. This action will also give it time for raising funds.
At present, the central bank has no room to accommodate the regulatory framework except for notifying that cryptos are not a legal mode of payment for goods and services. Hence, the framework is not clear enough to regulate the crypto industry and needs an overhaul.
